Playtech (PTEC) H1 2025 earnings summary

Executive summary

• Delivered strong H1 2025 performance with Adjusted EBITDA of €92 million, ahead of upgraded expectations, reflecting strategic progress in core markets, especially the Americas.

• Transitioned to a predominantly B2B business after the Snaitech sale and revised Caliente Interactive agreement, with €1.8 billion returned to shareholders via special dividend.

• Achieved significant growth in the U.S. and Brazil, with SaaS revenues up 73% and US and Canada B2B revenue up 64%.

• Strong balance sheet with net cash of €77 million at period end, supported by Snaitech sale proceeds.

• Strategic focus on regulated markets, especially the Americas, and continued investment in technology and compliance.

Financial highlights

• Group revenue for H1 was €387 million, down 10% year-on-year due to the revised Caliente Interactive agreement and Snaitech disposal.

• Adjusted EBITDA from continuing operations was €91.6 million, ahead of consensus, but down 16% year-on-year; B2B Adjusted EBITDA down 35% to €73.3 million.

• B2B division H1 revenue declined 9% to €347.6 million; excluding Caliente, underlying B2B revenue and EBITDA both up 3%.

• B2C revenue fell 17% to €41 million, with adjusted EBITDA loss narrowing to €1.5 million, driven by closure and wind-down of underperforming businesses.

• SaaS revenues grew 73% to €57.3 million, reflecting strong global demand.

Outlook and guidance

• On track to deliver full-year 2025 Adjusted EBITDA ahead of expectations, with medium-term targets of €250–300 million EBITDA and €70–100 million free cash flow.

• 2025 CapEx guidance reduced to €80–90 million; effective tax rate guidance maintained at 25%–28%.

• Continued investment planned in the U.S. and Brazil, with strong demand expected to drive growth, mindful of headwinds in Brazil and Colombia.